According to the Korea Automobile Manufacturers Association (KAMA), domestic auto sales for the country's five main automakers rose 9.5% year-on-year (y-o-y) in April 2014 to 130,145 units. While this figure excludes the low volume sales of commercial vehicle (CV) manufacturers Tata-Daewoo and Daewoo Bus Corporation, it is indicative of the general bullish market trend.
Domestic Sales Stronger Than Expected
In fact, April's figures have brought domestic auto sales for the first four months of 2014 to roughly 468,000 units, an increase of 5.6% y-o-y. Our view for sales to experience a recovery in H114 after contracting in 2013 is playing out well ( see 'Positive Sales Outlook Tempered With Caution', February 20).
Auto Exports Remain On A Tear
Vehicle production in April surged 12.3% y-o-y, to 433,799 units, bringing output for the first four months of 2014 to 1,588,652 units, an increase of 1.8% y-o-y. The strong start to the year is due to rising demand for South Korean auto exports in overseas markets.
We expect the strength in exports to continue over the course of the year and to provide an uplift to domestic production, due to a number of factors.
The South Korea Autos Report features the latest data and forecasts covering production, sales, imports and exports.
Business Monitor International (BMI)'s South Korea Autos Report provides industry professionals and strategists, corporate analysts, auto associations, government departments and regulatory bodies with independent forecasts and competitive intelligence on the automotives market in South Korea.
- Benchmark BMI's independent automotives industry forecasts on South Korea to test other views - a key input for successful budgetary and planning in the Korean automotives market.
- Target business opportunities and risks in the Korean automotives sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in South Korea.
- Assess the activities and market position of your competitors, partners and clients via our Competitive Landscape Analysis.
BMI Industry View
Summary of BMI's key industry forecasts and views, covering production, sales and the introduction of new technology or products.
Global, Regional and Country Industry Overviews
In-depth analysis of the major global and regional developments in the market, which can be linked with the country industry overview, providing cross-country investment, product and financing trends that will affect each market, supported by BMI’s global and regional industry forecasts.
Business Environment Rankings
BMI's proprietary Autos Business Environment Rankings are a unique country-comparative Risk-Reward Rankings index that separately analyses the risks and rewards of operating in each market. It is aimed at investors (including manufacturers, suppliers and dealers) who seek to either identify and compare market opportunities, or evaluate country-specific operational challenges.
The rankings methodology makes sophisticated use of over 40 industries, economic and demographic data points.
BMI Industry Forecasts
Historic data series and forecasts to end-2018 for all key industry indicators (see list below), supported by explicit assumptions, plus analysis of key downside risks to the main forecast, including:
Total production value (US$bn); total production of units; production by vehicle-type (including cars, commercial vehicles, trucks and buses); total sales value (US$bn); sales by vehicle-type, including passenger cars and commercial vehicles (vans and microbuses, pickups, trucks and buses, 4 wheel drive); total exports by value (US$bn) and by units; total imports by value (US$bn) and by units; contribution to GDP; employment in industry.
BMI Economic Forecasts
BMI forecasts to end-2018 for all headline macroeconomic indicators, including real GDP growth, inflation, fiscal balance, trade balance, current account and external debt.
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.